Euralair Airport Services (EAS) has outlined why it refused to enter into a final agreement to sell its fixed-base operation (FBO) at Paris Le Bourget in a failed joint venture initiative with Belgium’s Flying Group (Flight International, 28 February–6 March).
Flying Group last month said it would press ahead with its plans to establish a new FBO at the Paris airport, but that it had been forced to start legal action against EAS’s founder Alexandre Couvelaire for allegedly refusing to sign over the company in a two-part deal that led to the Belgian business acquiring EAS’s premises.
Couvelaire says the deal to sell the premises was always independent from the sale of the operating company, which currently claims a 20% market share of the 50,000 annual movements at Le Bourget.
“We had until the end of September to finalise the agreement, but we failed to agree on the terms, so we decided not to do the deal and remain for the time being alone,” says Couvelaire.
He says the deal failed after Flying Group made last-minute requests to include additional provisions in the final sale and purchase agreement that resulted in material changes to the original terms and conditions, adding that the business also failed to fulfil certain obligations including the contribution of its Cannes/Mandelieu FBO to the joint venture.
“Accordingly, in no way is EAS in breach of any of its obligations under the parties’ preliminary protocol or any agreement whatsoever with Flying Group, which is fully liable for the parties’ failure in reaching their final agreement.”
Flying Group started talks with Couvelaire in 2004, which led to the Belgian business signing a 25-year lease with Aéroports de Paris allowing it to develop business aviation at EAS’s Le Bourget base.
Flying Group says: “Couvelaire is trying to defend himself with isolated arguments that are not related to the context of the deal. Those minor issues would have been clarified if he had not decided to withdraw and stop communication.” Flying Group plans to demolish the Euralair infrastructure and build a new terminal, hangar and offices ready for operational launch in the second quarter of 2007, and will operate from ADP’s new business aviation terminal until then. Couvelaire says EAS still plans to move into new unspecified premises at Le Bourget. “It will be business as usual,” he says.
AIMEE TURNER / LONDON
Source: Flight International
